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Commerce · Q710

Costing

Graduate and Post Graduate · Commerce · question 710

Q710

In a joint process of production, a product which yields high volume of sales as compared to total sales volume of other products is known as

A.
incremental product
B.
sunk product
C.
main product
Answer
D.
split off product

Answer: Option C

Solution

Answer: Option C
Solution:
In a joint process of production, a product which yields high volume of sales as compared to total sales volume of other products is known as main product. A main product is a joint output that generates a significant portion of the net realizable value within a joint production process.